RHI Bankruptcy Case
28 March 2011
On 10 December 2010, RHI Entertainment Inc, (Hallmark) the USA based film and TV production company, petitioned in New York City to reorganise under Chapter 11 of the United States Bankruptcy Code. A Plan of Reorganisation has already been negotiated and approved by lenders.
Under the Plan and associated agreements negotiated by Equity, in conjunction with the US Guilds and other English-speaking sister unions, we have secured very favourable treatment for members. The reorganised company will be responsible for royalties and residuals claims both pre and post bankruptcy. Non-US residuals claims that accrued prior to the bankruptcy are to be paid in full over a seven-year period, or perhaps more quickly under certain circumstances.
While certain creditor claims have not yet been resolved, there is a good chance that this Plan will be confirmed by the bankruptcy court in the next few months. We will be in contact with concerned members as soon as there are any further developments.